China's rate cut lifts hopes for economic momentum in Hong Kong
From South China Morning Post: 2024-07-22 00:21:13
OCBC noted that a rate cut was expected, but the timing was surprising. The third plenum emphasized economic reform as a priority, leading to hopes for more monetary policy support. Biden’s endorsement of Kamala Harris didn’t shift public opinion towards Trump. Investors should prepare for potential surprises and consider gold as a hedge against market volatility.
Trump’s policies favor a stronger dollar, tax cuts, and trade protectionism. He plans to increase tariffs on all Chinese exports if re-elected. Hang Seng Index saw gains from companies like Trip.com, Xiaomi, and Wuxi Biologics. Hebei Keli Automobile Equipment had a successful debut on the Shenzhen market, with a 132% jump in share price.
Major Asian markets declined, with Japan’s Nikkei 225, South Korea’s market, and Australia’s S&P/ASX 200 all posting losses. It’s crucial for investors to diversify their portfolios in anticipation of market shifts and to be prepared for potential volatility in the coming months.
Read more at South China Morning Post: Hong Kong stocks edge up as China’s rate cut lifts hopes of economic momentum